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Family Income and Education in the Next Generation: Exploring income gradients in education for current cohorts of youth

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  • Paul Gregg
  • Lindsey Macmillan

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Abstract

The relationship between the incomes of the family a child is growing up in and the education level the child obtains has been of great interest to researchers for a number of reasons. Firstly, this gives us a measure of educational inequality in its own right and secondly, because the relationship between family income and education is also one of the key drivers of intergenerational income mobility across time in the UK and gradients in life chances across a range of other domains. This paper explores the evolution of the relationship between family income and education for a group of cohorts from those born in 1958 to those born in 1991/92. The range of educational relationships we can measure obviously depends on the age of the child. For older cohorts, who we observe as finished in education, we can measure the full range of educational outcomes up to degree level and their relationship with family income. For younger cohorts who are in earlier stages of education, we can measure test scores and GCSE results but not later educational outcomes.

Suggested Citation

  • Paul Gregg & Lindsey Macmillan, 2009. "Family Income and Education in the Next Generation: Exploring income gradients in education for current cohorts of youth," The Centre for Market and Public Organisation 09/223, Department of Economics, University of Bristol, UK.
  • Handle: RePEc:bri:cmpowp:09/223
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    File URL: http://www.bristol.ac.uk/cmpo/publications/papers/2009/wp223.pdf
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    References listed on IDEAS

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    1. Jo Blanden & Paul Gregg & Lindsey Macmillan, 2007. "Accounting for Intergenerational Income Persistence: Noncognitive Skills, Ability and Education," Economic Journal, Royal Economic Society, vol. 117(519), pages 43-60, March.
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    9. Philip Oreopoulos & Marianne Page & Ann Huff Stevens, 2008. "The Intergenerational Effects of Worker Displacement," Journal of Labor Economics, University of Chicago Press, vol. 26(3), pages 455-483, July.
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    11. Gary S. Becker & Nigel Tomes, 1994. "Human Capital and the Rise and Fall of Families," NBER Chapters,in: Human Capital: A Theoretical and Empirical Analysis with Special Reference to Education (3rd Edition), pages 257-298 National Bureau of Economic Research, Inc.
    12. Matt Dickson, 2013. "The Causal Effect of Education on Wages Revisited," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 75(4), pages 477-498, August.
    13. Nathan D . Grawe, 2004. "The 3-day Week of 1974 and Earnings Data Reliability in the Family Expenditure Survey and the National Child Development Study," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 66(4), pages 567-579, September.
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    Cited by:

    1. Andrew Dickerson & Gurleen K. Popli, 2016. "Persistent poverty and children's cognitive development: evidence from the UK Millennium Cohort Study," Journal of the Royal Statistical Society Series A, Royal Statistical Society, vol. 179(2), pages 535-558, February.
    2. Lindsey Macmillan & Claire Tyler & Anna Vignoles, 2013. "Who gets the Top Jobs? The role of family background and networks in recent graduates' access to high status professions," DoQSS Working Papers 13-15, Department of Quantitative Social Science - UCL Institute of Education, University College London.
    3. Joanne Lindley & Stephen Machin, 2012. "The Quest for More and More Education: Implications for Social Mobility," Fiscal Studies, Institute for Fiscal Studies, vol. 33(2), pages 265-286, June.
    4. Lindsey Macmillan, 2013. "The role of non-cognitive and cognitive skills, behavioural and educational outcomes in accounting for the intergenerational transmission of worklessness," DoQSS Working Papers 13-01, Department of Quantitative Social Science - UCL Institute of Education, University College London.
    5. Cormac O'Dea & Ian Preston, 2012. "The distributional impact of public spending in the UK," IFS Working Papers W12/06, Institute for Fiscal Studies.
    6. Jo Blanden & Lindsey Macmillan, 2014. "Education and Intergenerational Mobility: Help or Hindrance?," CASE Papers case179, Centre for Analysis of Social Exclusion, LSE.
    7. repec:cep:sticas:/179 is not listed on IDEAS

    More about this item

    Keywords

    Intergenerational mobility; children; education;

    JEL classification:

    • J62 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Job, Occupational and Intergenerational Mobility; Promotion
    • J13 - Labor and Demographic Economics - - Demographic Economics - - - Fertility; Family Planning; Child Care; Children; Youth
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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